Reply to the upside to income inequality

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[quote=takoma][quote=Anonymous]you need an incentive to not stay a low income levels subsidzed by the government. Humans by nature are lazy and unless it is uncomfortable won't leave a situation.[/quote]
I plead guilty to that.  Despite the fact that I have generally been liked by people, have fine credentials, am pretty bright, and had opportunity to do much better financially, I was and am perfectly satisfied with a reasonably comfortable middle-class existence.  The ability to be a millionaire was not an incentive for me.

My brother came from the same background, and had comparable talents, but always strove for more.  He was running a department store in his thirties.  That was back in the 70's when the top tax rate was still 70%.

Two people do not form much of a statistical sample, but everything I have seen in my (all too many) years tells me that what drives people is what is inside of them, not the marginal tax rate on what they earn.  Some of us are lazy, or if I may be kind to myself, place more value on a simple relaxed life, and some feel happy only when striving to do more and better.  Maybe you can give examples of things that were accomplished because of a 35% tax rate that would not have been done if it had been 40%, but I'll be shocked if you come up with anything significant.[/quote]

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